Chandra Asri secures funding to boost production at naptha cracker by over 40%

13-Dec-13

Chandra Asri Petrochemical, Indonesia’s largest listed petrochemical company, has secured funding to boost its production at its naptha cracker by more than 40% from 600,000 kilotons to 860,000 kilotons per year. The company secured US$265 mln seven-year loan. Bangkok Bank, Siam Commercial Bank, Indonesia Eximbank, DBS Bank, and Deutsche Bank provided the loan, Investor Daily reported. The company will also use part of the proceeds from its limited share sale in November. The company raised Rp 1.49 trillion (US$124 mln) from selling 220.77 mln new shares, or equivalent to 7.2% of its enlarged capital, in November. SCG Chemicals and Magna Resources, the majority shareholder of Barito Pacific, the holding company of Chandra Asri, bought the shares, as per thejakartaglobe.com. Additionally, the company aims to boost propylene production capacity by 150,000 tons to 470,000 tpa in 2015, and production of pyrolysis gasoline — which can be broken down into benzene — will increase by 120,000 tons to 400,000 tpa.